A majority of banks below $100 billion in revenue are spending more on technology this year than in the past, but most also say their technology projects are not being completed on schedule, according to a new survey of bank executives and board directors by Bank Director and Jack Henry.
Three out of four survey respondents said their bank’s technology budgets rose in fiscal year 2024, with a median increase of 4%. Respondents said their institutions set aside a median of 10% of their budgets for technology. At the same time, 60% of respondents said one or more technology projects planned in the past 18 months were not completed on schedule. Roughly one-third of respondents said they had problems integrating new technologies into their existing systems, while more than one in four said their projects went over budget.
Respondents were also asked about fraud concerns. A majority (89%) said they were more concerned about fraud in their bank’s digital channels compared to last year. Check fraud, phishing scams or social engineering attacks, and digital payments fraud were the three types of fraud that worried respondents most.
